Accounting Multiple Choice Question – 6 January 2023

The home of multiple choice questions for all your KS3, KS4 and KS5 Business Studies, Economics and Accounting requirements.

Accounting
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A bank statement shows a credit balance of £8,360.

Comparison with the cash book reveals:

• Cheques totalling £18,725, sent to suppliers, have not been presented.
• Cheques totalling £16,223, received from customers, have not been credited by the bank.
• Bank charges of £124 have not been entered in the cash book.

What is the correct cash book balance?

Select ONE answer:

  1. £5,734 credit
  2. £5,734 debit
  3. £5,858 debit
  4. £10,986 credit

Show your workings to arrive at your answer, and explain and justify your reasons:

……………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………

This multiple-choice question is suitable for Accounting KS5 classes.

The answer is 3

  1. Not correct
  2. Not correct
  3. Correct = 8,360 – 18,725 + 16,223 (you may want to deduct £124 charges from the bank statement, but such charges would already have been taken off on the bank statement before ascertaining the bank balance of £8,360).
  4. Not correct

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Author: stuart001uk2014

Referral marketing, business, economics and accounting s​pecialist & corporate mentor

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